Interview with Danny Perkinson

Danny Perkinson talks about his journey from a regular real estate agent to 50 deals in a month to brokering a $700M deal.

Video Replay of Interview with Danny Perkinson

Podcast Replay of Interview with Danny Perkinson

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00:00 Hey everybody, thank you for joining us for today’s episode of real estates disruptors. Today we got Danny Perkinson with Perkinson properties and he’s here to share how he’s sold close to a billion dollars in real estate. And that’s billions with a b in case you guys didn’t hear that correctly. Uh, if this is your first time tuning in, I’m Steve Trang broker, owner of Stunning Homes realty, founder of the offer fast homes APP, and the only app you need for wholesaling. And I’m on a mission to create 100 millionaire. So please private message me if you guys need any help with your business. A couple of you guys reached out to me last week. I appreciate that. And if you’re excited for today’s show, please give me a wave. Give me a thumbs up. And as a reminder, I don’t charge a dime for this show. I don’t make any money doing this. So here’s all I ask. If you get value today, please tell a friend, either share this episode now, tiger from below, or telling your best take away later on. That way we can all grow together. And don’t forget, this is a live show, so please post your questions for Danny to answer. I think he’s touched on all different facets of the real estate industry. So He’s a wealth of knowledge. Uh, so we’re, we’re very fortunate to have him today. So first question, what got you into real estate?

01:05 Um, yeah, that’s a good one. Uh, what got me into real estate is being a eyeballs deep and construction. Yeah, yeah, yeah. I, uh, actually my background’s in construction management, graduated with that degree, um, back in 2008 and was doing a lot of construction remodeling and decided I would way rather do something besides construction. You learned about construction. I’ve learned in 2008 downturn. So it was kind of a survival tactic for me at that time. I, um, I w I had a construction company and then I also got my real estate license to kind of pay the bills in the downturn and then eventually learned that I just enjoyed the real estate aspect of it more so than the construction aspect. So yeah, I still really like and do construction and enjoy it, but I prefer the real estate brokerage aspect more. Yeah. So that’s what got me into it.

02:03 Uh, and what were some of your early struggles when you got into the business? I’m in my early struggles were I really didn’t have a mentor of sorts. I kind of had to learn everything on the fly. I’m Perkinson properties was really just me and I had an uncle who was at that time the broker, but it wasn’t super active and involved, so had to learn a lot of the uh, news to the nitty gritties of how to do deals by myself. And then like any, any small business, you know, trying to find time to do everything that goes into getting a transaction done and then, you know, growing, growing a brokerage, you know, the typical growing pains of bringing in commissions and then having to shell those out for overhead. And those are probably my most vivid memories of some of the struggles I went through and really growing as a team. So to say that actually could generate some, some revenues.

02:58 So had a couple of right, they’re like, hey,

03:00 it’s the old thing about opening a brokerage and like before they even finished her statement is like, don’t do that. I concur with that statement. So let me, what were some of the pains that people that don’t know about? Uh, you know, there’s just the, the revenue stream that goes, that stays with the brokerage is so minimal. Even if you’re on, if you have your agents on 80 slash 20 splits, I mean it’s still, you just, you have, there’s a lot of overhead that goes into that. I mean there’s just a lot of costs to have a staff and admin and if you don’t have a staff or admin and they’re doing it, then you’re doing it yourself, which is naturally an opportunity cost away from you going out and generating revenues. Um, so keeping agents happy, truly adding value. I’m doing all of those things that keep agents coming. At the end of the day when it all shakes out, you know, the amount of revenues that really come in on the, on the brokerage side is, is minimal. And then also, you know, the headaches that you deal with as the broker. I’m putting out fires, dealing with compliance, dealing with contract related issues. There’s just compliance and complaints, compliance and complain. There’s a lot and it’s just man, that’s a drag sometimes.

04:08 And so like, you know, a lot of guys that uh, we run into in our industry, they have teams or they’re doing wholesale or fixing and flipping so they’d have all the same headaches. Yep. But with the brokerage, you have the benefit of making less money for the same amount of work. There you go. Uh, okay. So, um, you know, one of the questions we’re beginning a lot recently is, you know, these guys are getting into wholesale because you do wholesaling to more flipping side. No, no, we wholesale as well. Okay. So, you know, if you were to start a wholesale slash flip operation where the first five steps you would take in order to do that

04:42 first five steps it would take is be super on point with now knowing how to underwrite. I’m a, make sure you’ve got a, uh, you know, at least understand how you can get an exit buyer at the end of the day, have a backup plan in case that exit buyer doesn’t go through, um, know how to weather the storm if you have to, you know, eat some earnest money’s here and there, um, and you know, more than anything, just be, be ready and prepared to act quick wholesale deals, come in quick and go out quick. So it’s a high pace, a high paced business model and probably what drives me to it because I enjoy the adrenaline rush of. Yeah,

05:27 well was definitely more adrenaline as a lot more fun. Um, so as far as underwriting a deal, because I think of those five things, that’s actually the one that’s the most important because if you’ve got a deal, you can sell it, correct? Right. If you got their numbers right, you can exit it. The deals that are true deals. Yes. So the challenge is identifying which was a deal and which one they should pass on, which one’s the walkaway from. Right. So how would you teach someone? Can you see someone, you know how to underwrite a deal like know two minutes here?

05:58 Um, yeah, I mean on a two minute quick underwrite a training session, uh, you know, first things first is the way that I, the way I learned it is taken a lot of reps and, and, and I learned it in the construction industry. Measure measure twice, cut once, right? Being a framer, a kind of take the same approach, the same approach on the wholesale front where, you know, when you look at a deal, relook at it and make sure that you’re not missing something. And um, you know, I always like to start close proximity of the property and look in that exact neighborhood and if there might be some other deals outside, even when even they fall within a half mile radius, right? Um, there could be differing factors and I think a lot of people when they comp properties just automatically assume, oh, the woodson within a five mile radius and they missed the little details of, Oh yeah, well that might, that one backs or doesn’t back the street.

06:55 Whereas this one does a major street. Um, you know, it, it’s because it’s the little things, especially when you get into niche areas like Phoenix, Arcadia, some of those spots, historic and Phoenix is, there you go. I mean, it’s a lot different comping of property there than it is in southeast valley and Gilbert, that they all look the exact same. So, um, I think that’s probably one of the biggest, uh, mrs the ice on wholesalers just getting into the game and just blasting out these crazy numbers that, you know, you can’t hardly ever trust what those numbers are. Um, is, you know, they just, they take, they don’t, they don’t get surgical in their underwriting efforts. I had someone call me, I of my paper click campaigns, so that’s not fun, right? Because they’re not already there, like stared at bucks. He calls me $300 and he’s like, yeah, I got this property and it’s worth 700 easy as okay.

07:47 Yes, I made the details. I’ll take a look at it. It makes sense. I’ll call you back. And the 700. Yeah, if you go outside the neighborhood, 700 easy, that’s for sure. But all those 5:50 in your neighborhood, why are we not counting those? Right? Yeah, exactly right now, what are we looking past? All those that are right next to this property. Yeah. So you’ve been in the business for awhile now. What bits of wisdom would you give to the young guys? Man, I’m getting ready for a grind. Know this business is, uh, is not for the. I’m not for the weak and the weary, so you know, get ready to, you know, roll your sleeves up and jumping in the trenches and grab a shovel and start digging and keep digging and, you know, get ready to be knocked down and get back up and, you know, the, but he who scraps the hardest and the longest will come out on top. And that’s, that is the real estate industry in general. And even more so now with all these different companies coming in, disrupting this industry, um, you know, those that understand it, know how to be personable, work hard, never give up. And um, you know, be passionate about real estate. You got to have passion or else you won’t survive in this, in this industry.

09:00 And I think that there’s definitely a lot of truth to that because I think we talk about traditional real estate, I think was one of the most capitalistic industries there are. Then you get into wholesale and it makes residential look like a piece of cake. Yep. And that were in multiple facebook groups, you know, a wholesaling houses full of times one of the big ones and in wholesaling houses elite. And I think probably once a week we’d get in big letters, I’m done with this, this doesn’t work. Or You guys sold me something and Blah Blah Blah. And boy, if you’re not ready to grind and get knocked over, you’re not gonna

09:30 make it it. It is a grind. It is scrapped fest for sure.

09:35 Uh, so, you know, we got a lot of peers, a lot of friends. We run in the same circles in this market. What would you say is different between the way you run your business and with the other wholesalers? Flippers and our market run their businesses.

09:45 Um, you know, I like to, I like to stand out in, in a couple different couple of different ways. One, um, you know, I like to be on the frontlines of, of technology. Um, so, you know, one of the things that, uh, when I was writing offers for acquiring properties for colony was, uh, we, we developed a software platform which Steve Peterson, who’s a longtime wholesaler, super, super good guy, uh, and I and a lane Peterson all kind of collectively came together and built out a pretty cool mls scraper tool, an app that has been a pretty, a pretty unique and, and um, has been been great both when we were writing for colony and also now on the wholesale front, um, which allows us to be pretty, uh, pretty on point with underwriting and, and very efficient with offer writing and follow ups, etc. Um, and then, um, I’m a firm believer in it and even in the wholesale game, wholesale games at times, like I said, pretty scrappy, but I’m a firm believer in, you know, if you treat people right and fair and honest with them in here, now you’ll have residual business forever.

11:04 So, yoU know, I try to take that approach and in everything I had in everything I do and especially in the wholesale front, um, because at the end of the day, if you suck out all of the juice in the deal and you’re, whoever you sold, the dude doesn’t make any money, then they’re not comIng back around to you. So yeah, I like to kind of take that approach on every deal. Even if you might have to tighten things up on the spread, um, and take, take less of a margin to move more product. I think that that’s just a longterm sustainable business model and approach. Relational. It’s relational, very much relation, relationship based. Just,

11:42 uh, so one of the thing I want, I want to talk to you about is, you know, this has been this journey of all these different facets that you’ve gone through and the real estate world. So you started at percocet, was it strictly traditional?

11:54 Yeah, yeah. When I started, uh, originally it was called perkinson investment court and um, pregnancy investment corp was owned by my father. My uncle was that as a broker and in fact, little tidbit on that, um, the, uh, one of the founders of invitation homes, dallas tanner, I’m hung his license there, perkinson investment corp and you know, my dad kind was, is his mentor, so to say. So I got to kind of see that relationship and how that worked. But again, at that point it was very much more investment minded. And so I changed the name to perkinson properties and um, and was very much focused on the traditional real estate space or segment of the real estate industry from 2000 and. Well that had been eight to like 2011 was primarily residential resale. Um, and then in 2012 is when I started really focusing on and I became, I became a broker in 2012 and focused more on trying to build a team.

12:56 Um, and then from 2012 I’m in to 2013 and 14 it was on. I really just jumped into the, uh, us sfr space, single family residential, working with invitation homes. Okay. So let’s talk about that. So how dId that relationship occur now? Obviously being friends with danny or dallas or knowing dallas certainly helped. Yes, it, it definitely, it definitely helped, but there was a that really was not that influential and really being able to transact with them cause you know, he, he was off doing a lot of different things flying all over the country and it was uh, you know, he had his, his inhouse acquisition guys on the ground and then I had to kind of work directly with and figure out a way to add value. And um, so, uh, how do you get your foot in the door? So fun. Yeah. So a lot of phone calls, a lot of, uh, you know, followup, followup, followup, and, you know, it took about sIx months to actually get, to get a sit down and then a mutual friend who got picked up, uh, out of the business school as, um, you know, west coast acquisitions director, um, and was over the really heading up the las vegas acquisition team.

14:19 Um, I kind of anchored next to him and you know, kinda had written off phoenix because they had already been really moving. And um, so I started trying to get into the vegas market with him and you know, he liked that’s nasty. Like I was, you know, not relentless and, and, uh, you know, not taking no for an answer. And so he, um, uh, some things shook up and phoenix and even though I was going down the route of, of helping them acquire and vegas, um, he called me and said, hey, things opened up here in phoenix. So you’ve got an opportunity to see if you can come in and add some value. And so at that point that was um, uh, what was that? November, october of 2012 and I was on track to do about 50 transactions that month or that year I should say.

15:09 And then in the month of november we just stayed up all night for multiple weeks and figured out a way to pull in about 50 transactions in the month of november. And uh, from there we just built a system, created a platform that was um, it was meaningful and you know, the scrub dmls well and identified good deals and you know, really, uh, created a process that worked well for them at the time and because of that we were, were successful in helping them acquire and I think that there’s something big there, right? Like you went from on page 50 deals for that year to well we got to do 50 deals this month. Yeah. And there’s a lot of guys right now that are trying to build their businesses, trying to get their systems up and running and there’s the challenges of getting your business up and running.

15:58 And that is a challenge. Like, holy crap, we got this going on. How the heck do we manage all this? Yeah. So you said multiple weeks of not sleeping, like what were the challenges? How did you, uh, well, the challenges is, is nan lot of offers that are going out and keeping track of all those was a major challenge and so we had to really figure out in a short period of time how to streamline processes, how to organize the workflow in a way that we could stay on top of all the offers that were going out and then the ones that were getting accepted and how we were managing that whole process. And then once I did get accepted, you know, there was obviously an inspection period that we went through and a lot of those we had to go back and retrade. And so what we ended up doing is we really set it up.

16:42 I’m like an assembly line and we had, you know, agents, which one of those was our, our good friend Jordan Nielsen, a writing offers. And then we had a but, but they wouldn’t write offers until it was green lit by our underwriter. So we had original underwriter and then we had agents who are finding out offers. And then we had agents negotiating the deal, which I was primarily that agent, I had one other help help her, that would help me do that. But um, and then at that point moved into the transaction and closing departments. So we set it up like an assembly line, so it was kind of very systematic and he’ll streamlined. So in that process of setting that up, I mean, I’ve used that, what I learned in those, you know, eight short months, um, throughout all the different businesses that I’ve kind of ventured onto since that experience.

17:35 And it’s taught me a lot about what you learned a lot. I did learn a lot how to drink down from a hose or a big firehose. Yeah, it, it. Yeah. So then you were working with invitation homes and then that eventually kinda winding itself down. Yep. And then at that point you went off to. Yeah. So after, um, after ozone with invitation homes ended up starting a treehouse realty and you know, that was kind of an interesting venture that I learned a lot from as well. Um, the, you know, we got really heavy tranSitioned back into traditional resell side of things, pretty heavy, more so than I had originally anticipated. um, but again, learned a lot about building, building a brokerage and systems and automations and the power of technology in the real estate space. Um, and you know, grew that In about a year and a half time. We had close to 80 agents and um, learned that I really didn’t want to be the broker of ed agents.

18:38 So kudos to you. You’ve got 65 and um, you know, there’s just a lot of headaches that come along with that. And so, uh, but that was fun. That was great experience. Did that from about 2013 through end of 2015 into 16. And uh, yeah, had a great time. And then from there you went to. Yeah. So from there, um, I actually had, one of my passions has always been a commercial real estate. My father’s background is he’s more on the development land, land development and syndication game and he’s owned and operated a number of hotels and medical office buildings and I’ve always kind of saw what he’s done and never has had really dove into it head first until 2016. I have a good buddy of mIne who started a storage company by the name of ice storage in 2010 from 2010 to 2016.

19:34 They had grown a storage portfolio to the size of approximately 70 properties and in 2016 but 2016, I was actually down in Mexico with him racing baja trucks. And uh, we started talkIng about the acquisition platform that I had, um, for invitation homes. And he said, hey, you know, we’re in acquisition mode. They had just done a, a recapitalization of their company. And so I decided to jump in and learn the, the, uh, commercial real estate business with him. I’m acquiring properties for him and his company. And so, um, had a good run from end to 15 to 16 in the commercial real estate world that started a company called crest to commercial real estate. We identified a self storage properties for his group and others. And through that process was able to, um, you know, have firsthand experience and watching a lot of acquisitions happened and then I was able to be a part of a teeing up, making some good connections that ultimately led to them selling their portfolio for close to 700 million bucks.

20:37 So it was, it was really cool to be a part of that, that process. And I’m getting implemented a lot of what I learned during the days on the acquisition front and then tailor it to the, uh, commercial real estate front. Right. And then after all that. So yeah, right at the end of, of that sale going down actually got a call from a good friend of mine who also was very influential. In fact, you the same person who was very influential in getting me in with invitation homes. Uh, his name’s todd farmsworth, good friend of mine. And uh, he had been picked up by colony who’s based out of scottsdale and they had given him the task of, hey, we want to deploy meaningful capital here in phoenix. So he called me and said, hey, we need to spin up a or a the, I’ve been tasked to spin up a, a acquisition platform for them.

21:25 Um, and so I rallied some troops, brought them all together. They wanted to kind of have a multifaceted acquisition approach. I’m from mols to off market to new build, which they were, you know, kind of the pioneers in that build to rent space, which has now become a thing. Yeah, it is. I heard about that recently because lots of people doing it. Yeah, it is a thing. And we, you know, I was, I was able to put together one of the first build to rent deals in the valley with them out in san tan valley, which, you know, has been overperforming. Um, and so, you know, that was a, that was a fun, fun wave from 16 through middle of 17. Uh, we helped them acquire about 320 assets here in phoenix. Oh, nice. Yeah. And then now you’re wholesaling, flipping. Yep. Now wholesaling, flipping, um, you know, we ended up doing a little stint out in houston when harvey hit.

22:17 We felt like there was an opportunity out there and um, so we went out and acquired some 22 properties out there. Some were flood homes, others were non flood, more of like a, like a regentrification pocket somewhere like an arcadia in the inner loop of houston. And that’s been a great experience. Um, learned some hard lessons about operating in other states and how difficult that is. I’ll give me that because I need to be discouraged from going outside of Arizona. I would tell you that, um, you know, if anyone has, and again, I’ve had desires and passions of, you know, going and doing really big things in other markets and traveled all over and have got my broker’s license in seven different states and it sounds all great and fine and dandy, but be ready for a lot of, uh, uh, extensive costs and, you know, being spread super thin and, you know, what I learned is, you know, the ability to manage, which is common sense, right?

23:11 Have the ability to manage in a different state becomes very difficult and be able to kind of look them in the eye, look them in the eye and the unit ryan upon other guys. And I feel like I have a really good, you know, platform. There was some really good people, but even still, it’s hard to hold people’s feet to the fire, get them to show up. Especially in a market like houston where the, you know, the labor force has been a challenge to uh, you know, it will in general. There’s just, there’s a lot of construction rehabs going on for obvious reasons. So yeah. Um, but it was a, it’s been a great experience and we, uh, we’ve learned a lot and although the returns haven’t been as good as we would’ve liked, we know, uh, formed some really strong partners with our relationships with our partners and um, you know, are working our way through what we have. They’re going to probably hold on to some of those as rentals and um, look to exit those down the road. Some of the inventory levels had been a little higher than we would’ve liked, so absorption’s been a little softer, but um, yeah, it’s been a great experience.

24:16 So one of the things that, um, you know, as a warning to, uh, to some of our newer agents and stay focused, do one thing, do one thing well, right? Yeah. And then do the, it’s easy to kind of get shiny object syndrome and jump on this, that, this and this and what ends up happening as you fail at all of these different things. Now you’ve proven that you’ve proven to be the exception to that rule. so what do you attribute that to? like, how were you able to jump to so many different facets of the industry and still have high success in each, in each realm?

24:48 Um, well, I still think that it goes back to what I said at the beginning, tenacity, hard work and never giving up. That’s, that’s the only reason why I’m still in business today is because of that, because the reality of it is I couldn’t, I’m a, I’m, I’m a living testament to what you were just saying. You split your one, your one person you can only focus on. Yes, you, I’m pretty good multitasker and I can do multiple things at once, but my highest level of affectiveness has not been there because I’ve bounced around to a number two things. Now. The reason why I’ve done that is because it’s really more of an educational thing like I’ve wanted to get. Then there’s no better way to learn than jumping in headfirst and figuring it out. Yeah. And so I look at it as a way because, you know, my ultimate goal is to have, um, a boutique residential and commercial brokerage business in, located in the southeast valley that services phoenix.

25:48 Yeah. And because of everything that I’ve done over the last five years, I have, and I’ve touched five different asset classes, I have a track record in brokering, you know, land and commercial buildings and storage and industrial and office. Um, you know, I have, I have a background in all of that now and I feel like I can add some meaningful value to all of the different, all of those different asset classes. um, but to go back, to answer your question, why have I been able to do it? And others haven’t had sleepless nights and um, you know, putting in a lot of hours, that’s all there is to it. You’re going to figure it out. YeS. I’m down determined to figure it out. yeah.

26:28 So as far as your wholesale flipping operation, what does that organIzation look like today?

26:32 Um, so we’ve got a core group of about a six, six of us that I’m really, you know, get after it on the wholesale fix and flip front. I have a director, operations name’s Tyler Briggs. Super sharp kid came from a open or offer pad before he was with us. Um, and I have an internal call center. I’m one color here in phoenix and my office and I have actually outsourced color in Mexico that generate a lot of leads on the phones. Um, and then I’ve got a guy that kind of manages the leads and directs to the different agents that work in that we’ve got a three agents that really, you know, hustle and work out the leads that come in and go out to the buyer appointments and um, you know, we uh, we feel good about what we have, what we have going on, what we’ve got in the pipeline. And really the team that we haven’t placed is, is a, a bunch of guys and gals that they’d like to hustle and like to get after it. So.

27:35 So you’re sending licensed real estate agents on the buyer appointments. Some of them, uh, are licensed summer, some are not. So I’m using agents. You just mean like they just.

27:46 Yes, they were going to the people going out there. Buyers. Okay. Yeah. Buyer. So I have um, a one buyer that’s, he’s taking, he’s actually taken all of his classes to be an agent and he just hasn’t passed the test, but he, yeah, he goes on the, he’s really the one that goes on the majority of the buyer appointments and all the other agents really kind of helped sell the deals.

28:06 YEah. Okay. Uh, so that we were talking about cold callers talking about acquisitions. You do a any disposition people?

28:13 Um, uh, yeah, but I don’t, I haven’t segmented it to where, you know, I have people specifically focused on dispositions versus acquisitions. We can all collectively work together as a team. I think that that is something that, you know, I, I, I see systematically speaking, um, again, going back to focusing on one thing that you’re good at, I see that being something that we’re going to work on it 20, 19, really getting it set up like that. But right now we can all just work together as a team, as we get a deal tied up. We, we all go out to our different networks in and tap into the network that I’ve built over the last however many years and get them sold when whatever way we can. Okay.

28:53 Um, and then you mentioned earlier you, you wrote a platform to I’m going to write offers for, for your, for mls listings. Um, is that still something that you find effective to be today to be effective today? Yes. And just to clarify, I did not write the program.

29:09 It was steve peterson, so, um, but yeah, I was uh, you know, he and I were partners at the time and yeah, it’s been, we have had success using it and um, it is something that, you know, it’s a tool ultimately you get to know how to use the tool and you got to be, you know, super johnny on the spot and I’m really, really work it to get out of it what I’m, you know, what is built to do. But yes, we’ve had quite a bit of success with. I’m back, we’re working on a deal right now that we just tied up and closing 29th and we’re working at right now that today right before I came in here and we tied up using that app. Not all of them come on mls. We have quite a few that come off market probate and other sources, but it is an effective tool. Awesome. Yeah.

30:02 Um, and then we talked about this a little bit, but are you in any markets right now besides phoenix?

30:08 Houston? Yeah, I still am in houston. We’re in phoenix and in houston. Um, I’m licensed in Florida and Georgia and a nashville or I guess Tennessee. Um, but I’m not actively pursuing those markets right now. I really want to focus on focus on phoenix. I’d way rather be really, really good in phoenix, the mediocre and average in a whole bunch of different markets. All right. Um, so yeah, my main focus in 2019 is to, uh, be here in phoenix and I’ll probably grow out, uh, the wholesale platform in houston since I’m there. I’ve got a network there and uh, you know, but right now my main focus is phoenix.

30:51 Okay. Alright. And are there any crm tools or systems that you could not lIve without?

31:00 Hm. Crm tools or systems that I could not live without? Well, on the broker side I got to have sky slope. I previously was paper filed back six years ago and it was a disaster. So especially with the volume you guys are doing. Yeah. Yeah. So we quickly transitioned over to sky slope or something along those lines. I don’t. That loop I think is one of them that we tried that wasn’t a huge fan of. So sky slope has been pretty, pretty uh, great to use. Podio is what we’re using currently right now for our crm platform, which that was actually the original, a crm platform that we used when Jordan was with us six years ago and we were starting a resale team right after the hih days. He got a setup on podio and then we ended up jumping over to conversion when I started treehouse realty, which I think is now kv core, they call it, which I’m a fan of. I’m a fan of that platform as well. That was great. But you know, I like podio. I mean, it’s a, a, it’s got a good base and you can do a lot with it. Um, yeah, it’s been, uh, something that we have that’s been very useful. And then of course excel, right. You can’t get away without having one excel sheet. So, um, uh, and, and google drive, which google google docs, we’ve used a lot. That was what my whole acquisition platform was built off of for invitation homes was google docs.

32:25 Okay. You know, I missed the question here. I don’t know how this happened. Uh, what are your top lead sources are now on the specific sale? Wholesale? Yeah. Um, top lead sources are probably off of, uh, you know, our call center, I mean we have,

32:40 we have some dedicated, really good dealers that a kicked up quite a few leads and relationships that I built with different probate attorneys. Yeah. So those are probably my two top sources for deals. And then the cold callers, who were they calling? They’re calling off of a 60 day late list and then also just equity lists that we’ve, that we’ve pulled through, remind him actually we’ve used that reminded that you remind map and um, and then also some list source data and um, you know, we just get kinda surgical on what areas we want to focus on and dial a bunch of numbers. Yep. So cool. Uh, so what aRe you going to do if the market dips licking my chops? Um, you know, I, I’m gonna it’s part of what I’ve, why I’m kind of really transitioning back to like get hyperfocused on instead of the owner operator side, which I’ve been doing the last, you know, pretty heavily the last year.

33:42 I’m bringing, you know, my business back to the bread and butter of brokerage because market dips, that means there’s a lot of investors coming in to buy a bunch of properties, right? Um, or there’s people that are going to need to sell their house. I wonder there’s businesses that are going to need to move and consolidate and uh, so I’m just going to be ready to find those people or businesses that need to make a move because the market’s corrected and, and, um, be able to add a service that makes sense and get paid a commission because of it. So you think that traditional side, it’d be bigger than the market dips a. I mean, the traditional side will definitely be a, I don’t know, on the traditional side. I mean, I, I, I look at it as, I mean, yes, there will be traditional retail business.

34:30 That’s how I, that’s how I lived through the last downturn. My focus is probably will not be. My personal focus has been so much on that side, but the, the agents that I have on board with, uh, with me will be able to take advantage of that, but I think that there’ll be, I’m going to be focusing more on the investment opportunities that will come and to be able to identify those and bring in buyers or sellers or whatever, uh, and, and act as a, as a broker in those, in those transactions. And then obviously from being in the broker position, I’ll be able to identify some deals and in certain situations will be able to, you know, take a principle role in those. Okay. Uh, what’s your biggest struggle right now? Biggest struggle right now. Oh man. I would say the biggest struggle is just getting, getting things back in line and back in motion under the same system and platform or similar system and platform that I had back early days of, of treehouse and a late late days of version one of perkinson properties and getting all those systems really, really ironed out and functioning properly.

35:44 Um, you know, I’ve learned a lot through all of those days and now it’s Just getting all the, all the, uh, underlying core systems are in place and now it’s just the fine tuning process and so, um, you know, being pulled in a number of different directions on getting deals done myself and then managing other agents and I’m managIng projects that we have going on. So right now it’s probably the hardest thing is just getting pulled in a couple of different directions and trying to really find the right guys and gals in my office that are kind of owning those different things that are pulling me in different directions so that I can kind of focus on growing the macro business of having a boutique commercial and residential brokerage business that I can, you know, brIng an agents and source opportunities for those agents to run with.

36:35 So. Okay. And what do you consider to be your superpower? My superpower? I’m, you know, I’m a, I’m a, I’m the type of guy that can bring a lot of energy to the room and um, you know, create a lot of excitement and, you know, recruit agents and create opportunities for those agents to take advantage of. And uh, so I would, I would say that that’s, you know, those things are my, those are my forte is on the sales and marketing and recruiting side of things and that’s what I, I’m, I love doing. I mean, I love, uh, I love being, I love taking a group of people, bringing them all together, creating synergies to accomplish something great and have everyone went and when, when everyone’s winning like makes me happy. And so I’m, I’m a big, a big believer in creating systems and, uh, an operation to where that, uh, that can, that can reside.

37:37 Okay. I like that. Uh, what’s the greatest lesson you’ve learned? The greatest lesson I’ve learned is probably what you were talking about before, a find what I’m really good at and stay focused on that and not get distracted with the next big thing. The grass is greener on the other side, the shiny objects that fly in front of my face is that our fault, it keeps coming up in front of his. He does. And, and the biggest thing I learned is how to say no, how to say. That sounds like an unbelievable opportunity that I’m going to pass on. Yeah. But it’s not because it’s not an unbelievable opportunity or could be. It’s that on staying focused on this. And I’ve learned that from firsthand experience by associating with our good friend Jordan Nielsen, your list of pros and uh, he’s been a great example to me of that.

38:34 And you know, I just watching people just stay, stay level, stay right here and that’s, you know, it, it, it goes back to the tortoise and the hare dude that, that whole thing is like, and I have a couple of tours is myself and my house and it’s like I can not be more true. You can turn your head and next thing you know they’re gone and it’s not because they’re lightening speed, it’s because they’re just steady. All right. So I think that’s probably the biggest lesson that I learned is be steady, be constant and don’t get distracted. Yeah. I was coming from lunch and I had this, uh, starting a couple of flippers. They’re asking me like, oh, so steve was your focus? Like as just not a good question for me, seven different things going on on the surface yet of focus. Um, so what is your favorite best or most interesting failure?

39:25 Favorite, best and most interesting failure? That’s a good question because I’ve had a lot of failures in my day. Um, I probably would say, uh, I probably would say, you know, I guess you could classify cresta commercial real estate as a quote unquote failure because it’s not in existence anymore today. But I would say that that’s probably my, my favorite for a couple of reasons. One, I got to associate with my best childhood friend growing up, Paul Brown. He’s just such a stone and I was able to really spend a lot of quality time during those two years. I’m traveling, he’s, he had an office out in California on the beach, salana beach, and I literally have a mobile office over there on the beach, on the beach, like literally you sit here, look out the window, see the beach. It was nice, it was phenomenal. And so I was traveling back and forth doing.

40:24 I’m doing a lot with him, Spending a lot of time out there with him, learning from him and his partner zack linford, who’s a wizard, like an absolute dated data wizard and got to kind of see the inner workings of ice storage and how that, how that worked and um, uh, you know, that that has been, that was a tremendous learning experience for me. And again, although cresta in and of itself isn’t in existence, the things I learned during that two year stint and being able to be involved in a large, you know, watching a large transaction haPpened in front of my face. Um, and then be able to take those, those things and then apply it to this, the, uh, the residential, the sfr space right after that. Um, that’s probably been one of my, what was it, a favorite failure. They’re your favorite failures that I’ve learned the most from, and I can’t imagine too many people in our, in our space have done is $700,000,000 transaction.

41:24 yeah. Well, and again it was a, I wouldn’t say that I was the one who championed the whole thing. I would tee up, I did the initial phone call, which that’s my role as a broker. I know my role is a broker, right? Yeah. That is really your broker then. That’s the other thing I learned, you know, your place in the broker world, if you’re a broker, that’s what you are, you’re a broker, you make the introductions and you let the other guys do the work. Right. So, um, what book have you gifted more than any other book have I gifted man? If I were a reader, I would have a lot bigger wealth of a suggestive of books which I need to. That’s one of the things I reallY wanted to do more of in 2019 is read. But, uh, I would say, and this is one that my father, who was always pounding the streets on his google, a greatest salesman in the world by, uh, what’s his name?

42:16 You have shita, I don’t even know the author’s name now, christina. There you go. Um, but that’s probably, that’s a, that is probably been the book that I have referred out to my agents the most being in a sales, a sales business. The thing that I really liked about that, that book and that I put into practices is really understanding and knoWing, you know, the, the process of sales, but also understandIng and knowing how to go from the, um, the, what does he, what does he refer to it as in the book where you are the engineer mind to more of like the bigger picture mind and you got to understand and know your trade, but then you also have to be able to like take a step back and understanding how, how the, the bigger picture of the business works. And so, um, that’s probably my, uh, the book that I’ve gifted the most.

43:08 I’m gonna have to pick that up. Um, what keeps you up at night? Debt? Debt keeps me up at night. Not, not a huge fan of, of debt and hard money. Debt. Too much, too much of it keeps me up at night. Float. Yeah. Yeah. When you’re going through a flip and you got a big hard money loan on it that you’re paying 10 or 12 percent interest on the clock’s ticking and things are taking longer and you’ve got big hefty interest payments going out every month. That keeps me up at night. So that’s actually one of the few things that has kept me up at night. I am a rock of a sleeper stack. A bunch of dead on me and I will, I’ll keeP, you know, keep me up. So does that stop you or prevent you from doing like, you know, those, those major deals.

43:54 And he said you’re doing what? I’m doing one the best comeback right now. And uh, in a, uh, in a neighborhood called echo canyon, right? Literally right at the base of the trail head. Um, it’s a, it’s a big flip. And I got the big men the process or refine out some hard money and getting it down to more like five and a half percent money, which will be a little easier, but it’s still, you know, a million bucks in debt onto deal. So 12 percent. I mean, that’s what, that’s not a big deal. I mean that’s the only like $100,000. Exactly right. And some ridiculous amount every month. My payment currently on it, that one’s like 6,700 bucks a month. So it’s close to a year. So that’s not too bad. It’s chump change. right. For you. Maybe for you. Okay. Cool. So I think that’s a great place to end this.

44:37 Um, so what is, someone will have some questions for you on, you know, whether the crest or the brokerage or whatever. What’s the best way for someone to get a hold of you? I’m probably to a shoot me a text. I’m pretty easy on text or you can instant message me on facebook as well, but text message to my cell phone. Four, eight, zero, two, four, seven, zero, nine, zero seven. Um, or you could instant message me. Danny perkinson is pretty. Add me on facebook. So on facebook, you know, the red beard, shah, the galas, red beard. Which red beard, he didn’t used to be there and my kids told me to never shave it again because I look ridiculous. So we’ll see. We’ll see if I ever, if I ever get rid of the red beard. Okay, cool. And again guys, if you liked the show, please share this episode right now. and next week we have ron ron from houston and he’s gonna be talking about how he went from just doing regular car cells to becoming a top wholesaler in houston. Uh, and don’t forget the guys to check out real estate disruptors.com to find out about upcoming events and watch all of our previous episodes. And with that, thank you guys for listening and thank you. This was awesome.